External broker reports(aggregated public sources), Axis Direct

Axis Direct

External broker reports(aggregated public sources)

Axis Direct is the flagship brand under Axis Securities Limited, a subsidiary of Axis Bank in India. 

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Equity Bottom-Up

<ul><li>Sharp improvement in EBITDA/t at Rs 4,864/t (up 18%/17% YoY/QoQ, 6% beat vs. our and consensus estimates).</li><li>The improvement was led by industry-leading EBITDA/t across product segments.</li><li>Specifically, in the general products, the company achieved a 5% premium pricing over its competitors with an impressive EBITDA/t of Rs 2,897/t vs. a historical range of Rs 1,800-2,000/t. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Sharp improvement in EBITDA/t at Rs 4,864/t (up 18%/17% YoY/QoQ, 6% beat vs. our and consensus estimates).The improvement was led by industry-leading EBITDA/t across product segments.Specifically, in the general products, the company achieved a 5% premium pricing over its competitors with an impressive EBITDA/t of Rs 2,897/t vs. a historical range of Rs 1,800-2,000/t. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

APL Apollo Tubes Ltd - Strong Q4; Focus on Margins Via Product Mix and Capacity Expansion

Global Materials | Industrials | Commodities

Rahul Jain

<ul>
<li>Q4 FY25 performance was strong with volumes up 25% YoY, EBITDA up 48% YoY, and net profit up 72% YoY; EBITDA per ton improved to Rs4,864 (+18%YoY).</li>
<li>Management targets ~20% volume growth and ~Rs5,000/ton EBITDA for FY26, with capex of Rs1,500 crore over three years to expand capacity from 4.5 to 6.8mt.</li>
<li>EPS is projected to grow ~55% in FY26 and 20%+ in FY27; stock trades at ~39x FY26E and ~33x FY27E earnings, supported by strong internal cash generation and low leverage.</li>
</ul>


Q4 FY25 performance was strong with volumes up 25% YoY, EBITDA up 48% YoY, and net profit up 72% YoY; EBITDA per ton improved to Rs4,864 (+18%YoY).
Management targets ~20% volume growth and ~Rs5,000/ton EBITDA for FY26, with capex of Rs1,500 crore over three years to expand capacity from 4.5 to 6.8mt.
EPS is projected to grow ~55% in FY26 and 20%+ in FY27; stock trades at ~39x FY26E and ~33x FY27E earnings, supported by strong internal cash generation and low leverage.


APL Apollo Tubes: Volume Momentum Intact; Margin Expansion and Capex Execution Key to Valuations

<ul>
<li>APL Apollo has raised its capex guidance to accelerate growth in high-margin, value-added products (VAP) and new segments like heavy structural tubes, pre-engineered buildings, and solar structures.</li>
<li>Margins have recovered from Q2 lows but remain subdued due to weak steel prices. Sales volumes have grown at an 18% CAGR.</li>
<li>Trading at 65x TTM P/E vs. a 5-year average of 50x. A strong execution track record and RoCE &gt;25% provide confidence in growth execution.</li>
</ul>


APL Apollo has raised its capex guidance to accelerate growth in high-margin, value-added products (VAP) and new segments like heavy structural tubes, pre-engineered buildings, and solar structures.
Margins have recovered from Q2 lows but remain subdued due to weak steel prices. Sales volumes have grown at an 18% CAGR.
Trading at 65x TTM P/E vs. a 5-year average of 50x. A strong execution track record and RoCE &gt;25% provide confidence in growth execution.


APL Apollo Tubes (APAT IN) Stepping up the Gas on Capacity Expansions

<ul><li>EBITDA/t rebounds QoQ after weak Q2FY25 show: APL Apollo managed to pull back its EBITDA/t at Rs 4,173/t in Q3FY25, inline with the guidance range of Rs 4,000-4,500/t.</li><li>EBITDA/t improved despite continued macro headwinds in Q3FY25.</li><li>The company managed to grab the market share of its competitors, mainly from the secondary Patra market, as the spread between HRC and Patra narrowed. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

EBITDA/t rebounds QoQ after weak Q2FY25 show: APL Apollo managed to pull back its EBITDA/t at Rs 4,173/t in Q3FY25, inline with the guidance range of Rs 4,000-4,500/t.EBITDA/t improved despite continued macro headwinds in Q3FY25.The company managed to grab the market share of its competitors, mainly from the secondary Patra market, as the spread between HRC and Patra narrowed. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

APL Apollo Tubes Ltd - Strong Q3 Performance Despite Macro Headwinds

Market & Forensics Analyst, Beat the Street

Nimish Maheshwari

Market & Forensics Analyst

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With a strong social media presence of 45,000+ Subscribers across various platforms, they are considered trusted voices in the industry. Their insights and analysis have been featured in some of India’s most prominent publications, including the Economic Times, Dalal Street Investment Journal, The Morning Context, and The Ken.

Their analysis on Bankrupt & Insolvent companies has been instrumental in saving investors from significant losses. They have a keen eye for identifying red flags and has identified exclusive redflags earlier in Vedanta, Nykaa, Dhani Services, Adani and many more.

Read Business Not Stock Prices

Event-Driven

Shankara Building Products / Event-Driven

<ul>
<li>
<a href="https://www.smartkarma.com/entities/shankara-building-products-l" target="_blank" data-smartkarma-citation="entities:27268:1" rel="noopener">Shankara Building Products L (SHANKARA IN)</a> plans to demerge its steel manufacturing and building materials marketplace, enabling each business to operate independently with tailored leadership and capital allocation strategies.</li>
<li>This separation allows for targeted expansions in non-steel product lines and dedicated manufacturing improvements, potentially raising margins and fueling profitable growth in India’s booming construction market.</li>
<li>Focused leadership, improved transparency, and strategic capital deployment could enhance investor confidence, offering significant upside as Shankara refocuses on high-growth segments and streamlines its operations post-demerger.</li>
</ul>



Shankara Building Products L (SHANKARA IN) plans to demerge its steel manufacturing and building materials marketplace, enabling each business to operate independently with tailored leadership and capital allocation strategies.
This separation allows for targeted expansions in non-steel product lines and dedicated manufacturing improvements, potentially raising margins and fueling profitable growth in India’s booming construction market.
Focused leadership, improved transparency, and strategic capital deployment could enhance investor confidence, offering significant upside as Shankara refocuses on high-growth segments and streamlines its operations post-demerger.


Event Driven: Shankara Building Products, A Demerger Play

India

APL Apollo Tubes is India's largest producer of structural steel tubes, holding approximately 55% of the market share. The company manufactures over 2,500 products, including square, rectangular, and circular hollow sections, as well as pre-galvanized tubes, galvanized tubes, and MS black pipes, catering to construction, infrastructure, and industrial sectors. Headquartered in Noida, Uttar Pradesh (Delhi NCR), the company was founded in 1986.

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APL Apollo Tubes (APAT IN)

APL Apollo Tubes Ltd - Strong Q4; Focus on Margins Via Product Mix and Capacity Expansion

Sharp improvement in EBITDA/t at Rs 4,864/t (up 18%/17% YoY/QoQ, 6% beat vs. our and consensus estimates). The improvement was led by industry...

Axis Direct

APL Apollo Tubes: Volume Momentum Intact; Margin Expansion and Capex Execution Key to Valuations

Strong Q4 FY25 performance with significant growth in volumes, EBITDA, and net profit; management targets 20% volume growth and Rs5,000/ton EBITDA...

Rahul Jain